The proposed rates of benefit for 2008 are set out in the table attached. The annual up-rating of benefits will take place for State Pension and most other benefits in the first full week of the tax year. In 2008, this will be the week beginning 7 April. My right hon. Friend the Secretary of State for Northern Ireland proposes to introduce similar changes for Northern Ireland.
(Weekly rates unless otherwise shown) 2007 2008 ATTENDANCE ALLOWANCE higher rate 64.50 67.00 lower rate 43.15 44.85 CARER'S ALLOWANCE 48.65 50.55 COUNCIL TAX BENEFIT Personal allowances single - 18 to 24 46.85 47.95 - 25 or over 59.15 60.50 lone parent - 18 or over 59.15 60.50 couple - one or both 18 or over 92.80 94.95 dependent children 47.45 52.59 pensioner - single / lone parent - 60 - 64 119.05 124.05 - couple - one or both 60 - 64 181.70 189.35 - single / lone parent - 65 and over 138.10 143.80 - couple - one or both 65 and over 207.00 215.50 Premiums family 16.43 16.75 family (lone parent rate) 22.20 22.20 child under 1 10.50 10.50 pensioner - single 59.90 63.55 - couple 88.90 94.40 (all pensioner premiums (including ‘higher’ and ‘enhanced’) were equalised from April 2001) disability - single 25.25 25.85 - couple 36.00 36.85 - enhanced disability premium - single rate 12.30 12.60 - disabled child rate 18.76 19.60 - couple rate 17.75 18.15 severe disability - single 48.45 50.35 - couple (lower rate) 48.45 50.35 - couple (higher rate) 96.90 100.70 disabled child 46.69 48.72 carer 27.15 27.75 Non-dependant deductions aged 18 or over and in remunerative work - gross income: £369.00 or more 6.95 6.95 - gross income: £296 - £368.99 5.80 5.80 - gross income: £172 - £295.99 4.60 4.60 - gross income less than £172.00 2.30 2.30 others aged 18 or over 2.30 2.30 Alternative maximum Council Tax Benefit - second adult on IS, JSA(IB) or Pension Credit 25% of Council Tax 25% of Council Tax - first adult(s) student(s) 100% of Council Tax 100% of Council Tax - second adult's gross income : - under £169.00 15% of Council Tax 15% of Council Tax - £169.00 to £219.99 7.5% of Council Tax 7.5% of Council Tax Capital upper limit 16000.00 16000.00 amount disregarded 6000.00 6000.00 upper limit (claimant/partner 60 or over) 16000.00 16000.00 upper limit (entitled to Pension Credit guarantee credit) No limit No limit child disregard 3000.00 3000.00 upper limit (living in a care home) 16000.00 16000.00 amount disregarded (living in a care home) 10000.00 10000.00 Tariff income - £1 for each £250 (or part of) between amount of capital disregarded and capital upper limit Tariff income (claimant/partner 60 or over) - £1 for each £500 (or part of) between amount of capital disregard and capital upper limit Earnings disregards where disability premium awarded 20.00 20.00 various specified employments 20.00 20.00 lone parent 25.00 25.00 where the claimant has a partner 10.00 10.00 single claimant 5.00 5.00 where carer premium awarded 20.00 20.00 childcare charges 175.00 175.00 childcare charges (2 or more children) 300.00 300.00 Other income disregards maintenance disregard 15.00 15.00 war disablement pension and war widow’s pension 10.00 10.00 Armed Forces Compensation Scheme 10.00 10.00 student loan 10.00 10.00 student's covenanted income 5.00 5.00 income from boarders : fixed amount (£20) plus 50% of the balance of that income 20.00 20.00 additional earnings disregard 15.45 16.05 Expenses for subtenants (£20 fixed from April 08) furnished or unfurnished 4.00 20.00 where heating is included, additional 15.45 DEPENDENCY INCREASES Adult Dependency Increases for spouse or person looking after children with; state pension on own insurance, 52.30 54.35 long term incapacity benefit; unemployability supplement 48.65 50.55 severe disablement allowance 29.25 30.40 carers allowance 29.05 30.20 short-term incapacity benefit (over state pension age) 46.80 48.65 maternity allowance/short-term incapacity benefit 37.90 39.40 Child Dependency Increases payable with; state pension, widowed mothers/parents allowance, short-term incapacity benefit (higher rate); long term incapacity benefit; carers allowance; severe disablement allowance; higher rate industrial death benefit; unemployability supplement; short-term incapacity benefit (over state pension age) 11.35 11.35 Note - The rate of child dependency increase is adjusted where it is payable for the eldest child for whom child benefit (ChB) is also paid. The weekly rate in such cases is reduced by the difference (less £3.65) between the ChB rates for the eldest and subsequent children. DISABILITY LIVING ALLOWANCE Care Component Highest 64.50 67.00 Middle 43.15 44.85 Lowest 17.10 17.75 Mobility Component Higher 45.00 46.75 Lower 17.10 17.75 EARNINGS RULES Carers Allowance 87.00 95.00 Limit of earnings from councillor's allowance 86.00 88.50 Permitted work earnings limit - higher 86.00 88.50 - lower 20.00 20.00 Industrial injuries unemployability supplement permitted earnings level (annual amount) 4472.00 4602.00 Adult dependency increases with; short-term incapacity benefit where claimant is - under state pension age 37.90 39.40 - over state pension age 46.80 48.65 maternity allowance 37.90 39.40 state pension; long-term incapacity benefit; severe disablement allowance; unemployability supplement where dependant - is living with claimant 59.15 60.50 - still qualifies for the tapered earnings rule 45.09 45.09 state pension, 52.30 54.35 long-term incapacity benefit and unemployability supplement where dependant not living with claimant 48.65 50.55 severe disablement allowance where dependant not living with claimant 29.25 30.40 carers allowance 29.05 30.20 Child dependency increases - level at which increase is affected by earnings of the spouse or civil partner - for first child 180.00 185.00 - additional amount for each subsequent child 24.00 25.00 Pension income threshold for incapacity benefit 85.00 85.00 HOUSING BENEFIT Personal allowances single 16 to 24 46.85 47.95 25 or over 59.15 60.50 lone parent under 18 46.85 47.95 18 or over 59.15 60.50 couple both under 18 70.70 72.35 one or both 18 or over 92.80 94.95 dependent children 47.45 52.59 pensioner - single / lone parent - 60 - 64 119.05 124.05 - couple - one or both 60 - 64 181.70 189.35 - single / lone parent - 65 and over 138.10 143.80 - couple - one or both 65 and over 207.00 215.50 Premiums family 16.43 16.75 family (lone parent rate) 22.20 22.20 child under 1 10.50 10.50 pensioner single 59.90 63.55 couple 88.90 94.40 (all pensioner premiums (including ‘higher’ and ‘enhanced’) were equalised from April 2001) disability - single 25.25 25.85 - couple 36.00 36.85 - enhanced disability premium - single rate 12.30 12.60 - disabled child rate 18.76 19.60 - couple rate 17.75 18.15 severe disability - single 48.45 50.35 - couple (lower rate) 48.45 50.35 - couple (higher rate) 96.90 100.70 disabled child 46.69 48.72 carer 27.15 27.75 Non-dependant deductions from rent rebates and allowances; aged 25 and over in receipt of Income Support or income based Jobseeker’s Allowance; aged 18 or over, not in remunerative work 7.40 7.40 aged 18 or over and in remunerative work - gross income: less than £116.00 7.40 7.40 - gross income: £116 to £171.99 17.00 17.00 - gross income: £172 to £222.99 23.35 23.35 - gross income: £223 to £295.99 38.20 38.20 - gross income: £296 to £368.99 43.50 43.50 - gross income: £369.00 and above 47.75 47.75 Service charges for fuel heating 15.45 15.45 hot water 1.80 1.80 lighting 1.25 1.25 cooking 1.80 1.80 Amount ineligible for meals; three or more meals a day - single claimant 21.10 21.60 - each person in family aged 16 or over 21.10 21.60 - each child under 16 10.65 10.90 less than three meals a day - single claimant 14.05 14.35 - each person in family aged 16 or over 14.05 14.35 - each child under 16 7.05 7.20 breakfast only - claimant and each member of family 2.60 2.65 Capital upper limit 16000.00 16000.00 amount disregarded 6000.00 6000.00 upper limit (claimant/partner 60 or over) 16000.00 16000.00 upper limit (entitled to Pension Credit guarantee credit) No limit No limit child disregard 3000.00 3000.00 upper limit (living in a care home) 16000.00 16000.00 amount disregarded (living in a care home) 10000.00 10000.00 Tariff income - £1 for each £250 (or part of) between amount of capital disregarded and capital upper limit Tariff income (claimant/partner 60 or over) - £1 for each £500 (or part of) between amount of capital disregard and capital upper limit Earnings disregards where disability premium awarded 20.00 20.00 various specified employments 20.00 20.00 lone parent 25.00 25.00 where the claimant has a partner 10.00 10.00 single claimant 5.00 5.00 Where carer premium awarded 20.00 20.00 childcare charges 175.00 175.00 childcare charges (2 or more children) 300.00 300.00 Other income disregards maintenance disregard 15.00 15.00 war disablement pension and war widow's pension 10.00 10.00 Armed Forces Compensation Scheme 10.00 10.00 student loan 10.00 10.00 student's covenanted income 5.00 5.00 income from boarders : fixed amount (£20) plus 50% of the balance of that income 20.00 20.00 additional earnings disregard 15.45 16.05 Expenses for subtenants (£20 fixed from April 08) furnished or unfurnished 4.00 20.00 where heating is included, additional 15.45 Maximum rates for recovery of overpayments ordinary overpayments 9.00 9.15 where claimant convicted of fraud 12.00 12.00 INCAPACITY BENEFIT Long-term Incapacity Benefit 81.35 84.50 Short-term Incapacity Benefit (under state pension age) lower rate 61.35 63.75 higher rate 72.55 75.40 Short-term Incapacity Benefit (over state pension age) lower rate 78.05 81.10 higher rate 81.35 84.50 Increase of long-term Incapacity Benefit for age higher rate 17.10 17.75 lower rate 8.55 8.90 Invalidity Allowance (Transitional) higher rate 17.10 17.75 middle rate 11.00 11.40 lower rate 5.50 5.70 INCOME SUPPORT Personal Allowances single under 18 - usual rate 35.65 47.95 under 18 - higher rate payable in specific circumstances 46.85 47.95 18 to 24 46.85 47.95 25 or over 59.15 60.50 lone parent under 18 - usual rate 35.65 47.95 under 18 - higher rate payable in specific circumstances 46.85 47.95 18 or over 59.15 60.50 couple both under 18 35.65 47.95 both under 18 - one disabled 46.85 47.95 both under 18 - with responsibility for a child 70.70 72.35 one under 18, one 18-24 46.85 47.95 one under 18, one 25+ 59.15 60.50 both 18 or over 92.80 94.95 dependent children 47.45 52.59 Premiums family 16.43 16.75 family (lone parent rate) 16.43 16.75 pensioner couple 88.90 94.40 (all pensioner premiums (including ‘higher’ and ‘enhanced’) were equalised from April 2001) disability - single 25.25 25.85 - couple 36.00 36.85 - enhanced disability premium - single rate 12.30 12.60 - disabled child rate 18.76 19.60 - couple rate 17.75 18.15 severe disability - single 48.45 50.35 - couple (lower rate) 48.45 50.35 - couple (higher rate) 96.90 100.70 disabled child 46.69 48.72 carer 27.15 27.75 Housing cost deductions for non-dependants aged 25 and over in receipt of Income Support or income based Jobseeker’s Allowance; aged 18 or over not in work. 7.40 7.40 aged 18 or over and in remunerative work - gross income: less than £116.00 7.40 7.40 - gross income: £116 to £171.99 17.00 17.00 - gross income: £172 to £222.99 23.35 23.35 - gross income: £223 to £295.99 38.20 38.20 - gross income: £296 to £368.99 43.50 43.50 - gross income: £369.00 and above 47.75 47.75 Deduction for third party payments – arrears of housing, fuel, water charges, council tax etc. and deductions for the Eligible Loan Deduction Scheme and Integration Loan Scheme. 3.00 3.05 Deduction for child support, contribution towards maintenance (CTM) standard deduction 6.00 6.10 lower deduction 3.00 3.05 Arrears of Community Charge court order against claimant 3.00 3.05 court order against couple 4.65 4.75 Third party deductions – amount for personal expenses. 20.45 21.15 Third party deduction for fine or compensation order standard rate 5.00 5.00 lower rate 3.00 3.05 Maximum rates for recovery of overpayments ordinary overpayments 9.00 9.15 where claimant convicted of fraud 12.00 12.00 Relevant sum for strikers 32.00 32.50 Capital upper limit 16000.00 16000.00 amount disregarded 6000.00 6000.00 amount disregarded (living in a care home) 10000.00 10000.00 child's disregard limit 3000.00 3000.00 Tariff income - £1 for each £250 (or part of) between amount of capital disregarded and capital upper limit. Disregards standard earnings 5.00 5.00 couples earnings 10.00 10.00 higher earnings 20.00 20.00 war disablement pension and war widow's pension 10.00 10.00 Armed Forces Compensation Scheme 10.00 10.00 student loan 10.00 10.00 student's covenanted income 5.00 5.00 income from boarders : fixed amount (£20) plus 50% of the balance of that income 20.00 20.00 Expenses for subtenants (£20 fixed from April 08) furnished or unfurnished 4.00 20.00 where heating is included, additional 15.45 INDUSTRIAL DEATH BENEFIT Widows pension higher rate 87.30 90.70 lower rate 26.19 27.21 Widowers pension 87.30 90.70 INDUSTRIAL INJURIES DISABLEMENT BENEFIT 18 and over, or under 18 with dependants 100% 131.70 136.80 90% 118.53 123.12 80% 105.36 109.44 70% 92.19 95.76 60% 79.02 82.08 50% 65.85 68.40 40% 52.68 54.72 30% 39.51 41.04 20% 26.34 27.36 Under 18 100% 80.70 83.85 90% 72.63 75.47 80% 64.56 67.08 70% 56.49 58.70 60% 48.42 50.31 50% 40.35 41.93 40% 32.28 33.54 30% 24.21 25.16 20% 16.14 16.77 Maximum life gratuity (lump sum) 8750.00 9090.00 Unemployability Supplement 81.35 84.50 increase for early incapacity - higher rate 17.10 17.75 - middle rate 11.00 11.40 - lower rate 5.50 5.70 Maximum reduced earnings allowance 52.68 54.72 Maximum retirement allowance 13.17 13.68 Constant attendance allowance exceptional rate 105.40 109.60 intermediate rate 79.05 82.20 normal maximum rate 52.70 54.80 part-time rate 26.35 27.40 Exceptionally severe disablement allowance 52.70 54.80 JOBSEEKER'S ALLOWANCE Contribution based Jobseeker’s Allowance - personal rates under 18 35.65 47.95 18 to 24 46.85 47.95 25 or over 59.15 60.50 Income-based Jobseeker’s Allowance - personal allowances under 18 35.65 47.95 18 to 24 46.85 47.95 25 or over 59.15 60.50 lone parent under 18 - usual rate 35.65 47.95 under 18 - where higher rate payable 46.85 47.95 18 or over 59.15 60.50 couple both under 18 35.65 47.95 both under 18 - one disabled 46.85 47.95 both under 18 - where higher rate payable 70.70 72.35 one under 18 and other 18-24 46.85 47.95 one under 18 and other 25 + 59.15 60.50 both 18 or over 92.80 94.95 dependent children 47.45 52.59 Premiums family 16.43 16.75 family (lone parent rate) 16.43 16.75 pensioner single 59.90 63.55 couple 88.90 94.40 (all pensioner premiums (including ‘higher’ and ‘enhanced’) were equalised from April 2001) disability - single 25.25 25.85 - couple 36.00 36.85 - enhanced disability premium - single rate 12.30 12.60 - disabled child rate 18.76 19.60 - couple rate 17.75 18.15 severe disability - single 48.45 50.35 - couple (lower rate) 48.45 50.35 - couple (higher rate) 96.90 100.70 disabled child 46.69 48.72 carer 27.15 27.75 Housing cost deductions for non-dependants aged 25 and over, in receipt of Income Support or income based Jobseeker’s Allowance; aged 18 or over, not in remunerative work. 7.40 7.40 aged 18 or over and in remunerative work - gross income: less than £116.00 7.40 7.40 - gross income: £116 to £171.99 17.00 17.00 - gross income: £172 to £222.99 23.35 23.35 - gross income: £223 to £295.99 38.20 38.20 - gross income: £296 to £368.99 43.50 43.50 - gross income: £369.00 and above 47.75 47.75 Deduction for third party payments from income based Jobseeker’s Allowance for - arrears of housing, fuel, water charges, council tax etc. and deductions for the Eligible Loan Deduction Scheme and Integration Loan Scheme. 3.00 3.05 - child support, contribution towards maintenance (CTM) standard deduction 6.00 6.10 lower deduction 3.00 3.05 - arrears of Community Charge court order against claimant 3.00 3.05 court order against couple 4.65 4.75 - third party deduction amount for personal expenses 20.45 21.15 from contribution based Jobseeker’s Allowance for - arrears of Community Charge, Council Tax, fines and overpayment recovery Age 16 - 17 11.88 15.98 Age 18 - 24 15.61 15.98 Age 25 + 19.71 20.16 - maximum deduction for arrears of Child Maintenance (CTM) Age 16 - 17 11.88 15.98 Age 18 - 24 15.61 15.98 Age 25 + 19.71 20.16 - third party deduction for fine or compensation order standard rate 5.00 5.00 lower rate 3.00 3.05 Maximum rates for recovery of overpayments in income based Jobseeker’s Allowance ordinary overpayments 9.00 9.15 where claimant convicted of fraud 12.00 12.00 Prescribed sum for strikers 32.00 32.50 Capital upper limit 16000.00 16000.00 amount disregarded 6000.00 6000.00 Amount disregarded (living in a care home) 10000.00 10000.00 child's limit 3000.00 3000.00 Tariff income - £1 for each £250 (or part of) between amount of capital disregarded and capital upper limit. Disregards standard earnings 5.00 5.00 couples earnings 10.00 10.00 higher earnings 20.00 20.00 war disablement pension and war widow's pension 10.00 10.00 Armed Forces Compensation Scheme 10.00 10.00 student loan 10.00 10.00 student's covenanted income 5.00 5.00 income from boarders : fixed amount (£20) plus 50% of the balance of that income. 20.00 20.00 Expenses for subtenants (£20 fixed from April 08) furnished or unfurnished 4.00 20.00 where heating is included, additional 15.45 MATERNITY ALLOWANCE Standard rate 112.75 117.18 MA threshold 30.00 30.00 PENSION CREDIT Standard minimum guarantee single 119.05 124.05 couple 181.70 189.35 Additional amount for severe disability single 48.45 50.35 couple (one qualifies) 48.45 50.35 couple (both qualify) 96.90 100.70 Additional amount for carers 27.15 27.75 Savings credit threshold - single 87.30 91.20 threshold - couple 139.60 145.80 maximum - single 19.05 19.71 maximum - couple 25.26 26.13 Capital Amount disregard 6000.00 6000.00 Amount disregard - care homes 10000.00 10000.00 Deemed income - £1 for each £500 (or part of) in excess of the amount disregarded Housing cost deductions for non-dependants aged 25 and over in receipt of Income Support or income based Jobseeker’s Allowance; aged 18 or over not in work. 7.40 7.40 aged 18 or over and in remunerative work - gross income: less than £116.00 7.40 7.40 - gross income: £116 to £171.99 17.00 17.00 - gross income: £172 to £222.99 23.35 23.35 - gross income: £223 to £295.99 38.20 38.20 - gross income: £296 to £368.99 43.50 43.50 - gross income: £369.00 and above 47.75 47.75 Amount for claimant and first spouse in polygamous marriage 181.70 189.35 amount for additional spouse 62.65 65.30 Disregards standard earnings 5.00 5.00 couples earnings 10.00 10.00 higher earnings 20.00 20.00 War disablement pension and War widows pension 10.00 10.00 Armed Forces Compensation Scheme 10.00 10.00 Widowed Parent's Allowance 10.00 10.00 Income from subtenants 20.00 20.00 income from boarders : fixed amount (£20) plus 50% of the balance of that income 20.00 20.00 Deduction for third party payments – arrears of housing, fuel, water charges, council tax etc. and deductions for the Eligible Loan Deduction Scheme and Integration Loan Scheme. 3.00 3.05 Deduction for child support, contribution towards maintenance (CTM) standard deduction 6.00 6.10 lower deduction 3.00 3.05 Arrears of Community Charge court order against claimant 3.00 3.05 court order against couple 4.65 4.75 Third party deductions – amount for personal expenses. 20.45 21.15 Third party deduction for fine or compensation order standard rate 5.00 5.00 lower rate 3.00 3.05 Maximum rates for recovery of overpayments ordinary overpayments 9.00 9.15 where claimant convicted of fraud 12.00 12.00 PNEUMOCONIOSIS, BYSSINOSIS, AND MISCELLANEOUS DISEASES SCHEME AND THE WORKMEN’S COMPENSATION (SUPPLEMENTATION) . Total disablement allowance and major incapacity allowance (maximum) 131.70 136.80 Partial disablement allowance 48.65 50.55 Unemployability supplement 81.35 84.50 appropriate increases for early incapacity - higher rate 17.10 17.75 - middle rate 11.00 11.40 - lower rate 5.50 5.70 Constant attendance allowance exceptional rate 105.40 109.60 intermediate rate 79.05 82.20 normal maximum rate 52.70 54.80 part-time rate 26.35 27.40 Exceptionally severe disablement allowance 52.70 54.80 Lesser incapacity allowance maximum rate of allowance 48.65 50.55 based on loss of earnings over 64.50 67.00 STATE PENSION Category A or B 87.30 90.70 Category B(lower) - husband's insurance 52.30 54.35 Category C or D - non-contributory 52.30 54.35 Category C(lower) - non-contributory 31.30 32.50 Additional pension Increase by 3.9% Increments to:- Increase by: - Basic pension 3.9% - Additional pension 3.9% - Graduated Retirement Benefit (GRB) 3.9% - Inheritable lump sum 3.9% Contracted-out deduction from Additional Pension in respect of pre-April 1988 contracted-out earnings Nil Contracted-out Deduction from Additional Pension in respect of contracted-out earnings from April 1988 to 1997 3.0% Graduated Retirement Benefit (unit) 0.1057 0.1098 Graduated Retirement Benefit (Inherited) Increase by 3.9% Addition at age 80 0.25 0.25 SEVERE DISABLEMENT ALLOWANCE Basic rate 49.15 51.05 Age-related addition (from Dec 90) Higher rate 17.10 17.75 Middle rate 11.00 11.40 Lower rate 5.50 5.70 STATUTORY ADOPTION PAY Earnings threshold 87.00 90.00 Standard Rate 112.75 117.18 STATUTORY MATERNITY PAY Earnings threshold 87.00 90.00 Standard rate 112.75 117.18 STATUTORY PATERNITY PAY Earnings threshold 87.00 90.00 Standard Rate 112.75 117.18 STATUTORY SICK PAY Earnings threshold 87.00 90.00 Standard rate 72.55 75.40 WIDOW'S BENEFIT Widowed mother's allowance 87.30 90.70 Widow's pension standard rate 87.30 90.70 age-related age 54 (49) 81.19 84.35 53 (48) 75.08 78.00 52 (47) 68.97 71.65 51 (46) 62.86 65.30 50 (45) 56.75 58.96 49 (44) 50.63 52.61 48 (43) 44.52 46.26 47 (42) 38.41 39.91 46 (41) 32.30 33.56 45 (40) 26.19 27.21 Note: For deaths occurring before 11 April 1988 refer to age-points shown in brackets BEREAVEMENT BENEFIT Bereavement payment (lump sum) 2000.00 2000.00 Widowed parent's allowance 87.30 90.70 Bereavement Allowance standard rate 87.30 90.70 age-related age 54 81.19 84.35 53 75.08 78.00 52 68.97 71.65 51 62.86 65.30 50 56.75 58.96 49 50.63 52.61 48 44.52 46.26 47 38.41 39.91 46 32.30 33.56 45 26.19 27.21